Guidelines

LTV

LTC (up to 350K)

LTC (350K to 600K)

FICO

Ratio (back)

Max Loan

Income

Occupancy

Rate

Owner-builder

Utah

80%

95%

90%

680

42%

$600,000

FULL

O/O

5.5%*see below

Allowed

Idaho

80%

85%

85%

680

45%

$750,000

FULL

O/O

5.5%*see below

Allowed

Closing Fees

  *Wholesale pricing, retail loans include loan packaging origination fees
.

  • 1.00% Origination (2% fee on loans less than $100,000)
  • $495 Underwriting
  • $160 Document prep
  • $37 Flood Cert/Wire
  • $100 per month Inspection Fee (based on loan term)
  • $300 Servicing fee on a 9 month loan
  • $600 Servicing fee on a 12 month loan

Rates: Prime + 2.00% if the LTC is greater than 80%. The rate is Prime + 1.00% if the LTC is 80% or less. **There is a 5.50% floor on the rate.**

Additional Guidelines

  • Owner-Builder: Allowed. $300,000 general liability rider required on course of construction insurance. A letter of qualification required, stating by what means, contacts, or experience qualifies the borrowers to build their own house.  **The origination fee for owner-builder projects is 1.50%.**
  • Appraisal: Utah only–CCS will order the appraisal.  CCS needs the cost breakdown, full set of plans, and check made out to “Construction Capital Source”.  Salt Lake Metro — $400.  Everywhere else and Jumbo’s — call for price.  All appraisals must be prepaid.
  • Term: 
6 months. 9, 12, or 18 months may be granted for bigger projects on a case-by-case basis. In such cases, a $300 servicing fee will be added for each additional 3 month period.
  • Extensions: 
One 3 month extension can be granted for homes not finished within the original term. An extension fee of 0.50% of the original principal amount will be charged to the borrower.
  • Modification Fee: 
A 3% Modification Fee will be charged anytime a loan is paid off by someone other than the original borrower, or the property is offered for sale.
  • Current Home: 
The borrower’s current house payment will be included in ratio calculations.
  • Eligible Borrowers: 
 Individuals only.
  • Eligible Properties: 
Owner occupied, primary residences only.
  • Contingency: 
5% minimum contingency fund required.
  • Interest Reserve: 
Required interest reserve account is built into the soft costs of the loan. This account is calculated by the following formula:
  • Loan with lot payoff: (Loan amount x 65% x rate x term/12)
  • Loan without lot payoff: (Loan amount x 50% x rate x term/12)
  • This account will pay the interest due during the term of the construction loan.
  • Builder Pre-sold (Loan in the Builder’s Name): 
Currently not available.
  • Idaho loans are subject to a 30% Maximum Front End Ratio, and 40% Maximum Back End Ratio.
  • This product information may be changed at any time and is intended exclusively
for CCS-approved mortgage brokers.